ZZGAMAZZ
Elite Member
- Joined
- Jul 23, 2007
- Professional Status
- Certified Residential Appraiser
- State
- California
Hypothetically speaking, can the market be described as "stable" rather than "declining" if the result of the appraiser's market analysis reveals that it has stablized--but at a point considerably less than market value as of the effective date?
For example, for various reasons I feel that the local sub-market in which my subject property exists is stable at approximately 15% below market value, which is based upon a plethora of sold comparables within, say, 30 days of the effective date.
The current active market is substantially below "today's" effective date, with huge support from pending sales.
In this scenario I feel confident that the market is stable, yet at a price point below market value.
Question: Can this snapshot be described as "stable" if the circumstances and rationale are explained; or so should stable pertain only to stable at current market value as of the effective date?
For example, for various reasons I feel that the local sub-market in which my subject property exists is stable at approximately 15% below market value, which is based upon a plethora of sold comparables within, say, 30 days of the effective date.
The current active market is substantially below "today's" effective date, with huge support from pending sales.
In this scenario I feel confident that the market is stable, yet at a price point below market value.
Question: Can this snapshot be described as "stable" if the circumstances and rationale are explained; or so should stable pertain only to stable at current market value as of the effective date?